Page:United States Statutes at Large Volume 103 Part 1.djvu/484

 103 STAT. 456 PUBLIC LAW 101-73 —AUG. 9, 1989 ing after paragraph (2) (as so redesignated) the following new paragraph: ' "(3) SUSPENSION ORDER.— "(A) SUSPENSION OR PROHIBITION AUTHORIZED.— If the Board serves written notice under paragraph (1) or (2) to any institution-affiliated party of the Board's intention to issue an order under such paragraph, the Board may sus- pend such party from office or prohibit such party from further participation in any manner in the conduct of the affairs of the institution, if the Board— "(i) determines that such action is necessary for the protection of the credit union or the interests of the credit union's members; and "(ii) serves such person with written notice of the suspension order. "(B) EFFECTIVE PERIOD. —Any suspension order issued under subparagraph (A)— "(i) shall become effective upon service; and ^ _ "(ii) unless a court issues a stay of such order under paragraph (6), shall remain in effect and enforceable until— "(I) the date the Board dismisses the charges contained in the notice served under paragraph (1) , or (2) with respect to such party; or "(II) the effective date of an order issued by the Board to such person under paragraph (1) or (2). "(C) COPY OF ORDER.— If the Board issues a suspension order under subparagraph (A) to any institution-affiliated party, the Board shall serve a copy of such order on any insured credit union with which such party is associated at the time such order is issued.". (3) PROHIBITION OF CERTAIN SPECIFIC ACTIVITIES REQUIRED. — Section 206(g) of the Federal Credit Union Act (12 U.S.C. 1786(g)) is amended by adding after paragraph (4) (as so redesig- nated by paragraph (2) of this subsection) the following new paragraph: "(5) PROHIBITION OF CERTAIN SPECIFIC ACTIVITIES.—Any person subject to an order issued under this subsection shall not— "(A) participate in any manner in the conduct of the affairs of any institution or agency specified in paragraph (7)(A); "(B) solicit, procure, transfer, attempt to transfer, vote, or attempt to vote any proxy, consent, or authorization with respect to any voting rights in any institution described in subparagraph (A); "(C) violate any voting agreement previously approved by the appropriate Federal banking agency; or "(D) vote for a director, or serve or act as an institution- affiliated party.". (4) CONFORMING AMENDMENTS. —Section 206(g)(6) of the Fed- eral Credit Union Act (12 U.S.C. 1786(g)(6)) is amended— (A) by striking out "paragraph (4)" and inserting in lieu thereof "paragraph (3)"; and (B) by striking out "(1), (2), or (3)" and inserting in lieu thereof "(Dor (2)".

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